Silver futures plunge 1.7% on lower global trend

Mumbai-India (Dec 20)  Silver prices plunged by 1.79% to Rs 44,535 per kg in futures trading yesterday as speculators reduced their holdings on the back of weak global trend as the US Fed decided to trim monthly bond purchases.

At the Multi Commodity Exchange, silver for delivery in March plunged by Rs 813, or 1.79%, to Rs 44,535 per kg in business turnover of 4,442 lots.

Similarly, silver for delivery in May moved down by Rs 764, or 1.65% to Rs 45,513 per kg in 74 lots. 

Market analysts said selling by speculators in line with a weak global trend as the Federal Reserve said it will trim its monthly bond purchases following improved outlook for the US jobs market, mainly pulled down silver prices.

Meanwhile, silver fell 0.5% to 19.63 dollar an ounce in Singapore.